The home-goods retailer offers a nearly textbook case of the troubles weighing on bricks-and-mortar retailers

For a good case study of the challenges facing modern-day bricks-and-mortar retailers, investors need look no further than Bed Bath & Beyond Inc.

The company’s merchandise is largely commoditized, meaning the bulk of it is available on Amazon.com. Despite that, Bed Bath & Beyond was late to e-commerce and has recently been playing catch up, investing in upgrading its online presence, introducing mobile apps and rolling out a new point-of-sale system. Comparable sales from digital channels rose more than 25% in its...